Title IV Funds

Financial aid is awarded to students contingent upon attending classes for the term and successful completion of the semester. If a student fails to do this, they may be responsible for repaying part or all of their financial aid.

A student’s financial aid is based on the number of classes the student is enrolled in and the number of days the student is enrolled in classes. When a student initiates a withdrawal from one or more classes, the amount of financial aid the student is eligible to receive is affected.

A student is considered to have withdrawn if they do not complete all of the days scheduled to complete within the semester. The determination of a withdrawal depends upon the original dates they are enrolled in for the semester. If they do not complete at least one course that goes through the latest end date of the courses on their schedule, they will be considered to have withdrawn and a return of Title IV funds calculation will be performed.

There are two types of withdrawals: official withdrawals or unofficial withdrawals.
A student is considered to have officially withdrawn when they follow the college’s defined process to withdraw from classes. A complete withdrawal is defined as dropping all classes for a given semester.

A student’s official withdrawal date is defined as:

  1. The date the student signs and turns into the registration office a drop cared OR
  2. The date the registration office receives a written letter, fax or email from the student requesting to be withdrawn from all classes OR
  3. The date a student phones the registration office requesting to be withdrawn from all classes OR
  4. The date the student withdraws from all classes on the E-Bridge system


A student is considered to have unofficially withdrawn when the student does not complete the official withdrawal process and the student’s instructors report that the student is no longer attending classes.

A student’s unofficial withdrawal date is defined as:

The midpoint (50%) of the semester, unless the financial aid office is able to document attendance beyond the midpoint of the semester.

The time frame for midpoint may differ for students depending on their individual class schedule.

Title IV Funds consists of Direct Loans, PELL Grants, and SEOG Grants; these may include both disbursed and undisbursed funds at the time of the student’s withdrawal. The Return of title IV funds to the federal government is based on a calculation that determines both how much aid the student is eligible to receive and how much the student is no longer eligible for, because they are no longer enrolled in school. This calculation is applicable until the student has completed more than 60 percent of the semester. Once the student has completed more than 60 percent of the semester, all financial aid is considered earned.

For example:

If a student completed 15 percent of the semester, the student will have earned 15 percent of the financial aid awarded for the semester. Any aid above and beyond the 15 percent is considered unearned and must be returned to the federal government.

As prescribed by federal law, EICC is required to return the lesser of:

  • The unearned amount of the financial aid; or
  • An amount equal to the student’s total institutional charges for the semester, multiplied by the percentage of unearned aid.


As prescribed by federal law, the amount the student must return is:

The unearned amount of Title IV assistance minus any funds EICC returned. If the student is required to repay unearned load funds, these funds will be repaid in accordance with the terms of the promissory note. That is, through scheduled payments to the holder of the load over a period of time.

These returns will be made to the appropriate federal programs according to CFR Section 668.22 within the 45 day required timeframe.

If the student is required to repay unearned Pell and/or SEOG Grant funds, the law provides that the student is only required to return grant funds if the final grant overpayment amount exceeds 50 percent of the total grant assistance the student received for the payment period.

If it is determined that you owe a repayment of grants to the US Government, you will remain ineligible for federal and state aid until you resolve your repayment.

You must contact the business office within 45 days of receiving written notification of your repayment obligation. If you do not contact the business office, you will be turned over to the Department of Education for collection. You will remain ineligible for federal or state aid until the college receives notification from the Department of Education that you have reestablished your eligibility.
In addition, if you owe a balance on your account at EICC due to this calculation, you must pay your balance before future registration.

Suspension of Title IV Eligibility for Drug-Related Offenses


A student who is convicted of any offense under any Federal or State law involving the possession or sale of a controlled substance during a period of enrollment for which the student was receiving any federal grant, loan, or work assistance shall not be eligible to receive financial aid from the date of that conviction for the period of time specified in the following table:

If the conviction involved the possession of a controlled substance, the ineligibility period is:

  • First offense- 1 year
  • Second offense - 2 years
  • Third offense - indefinite


If the conviction involved the sale of a controlled substance, the ineligibility period is:

  • First offense - 2 years
  • Second offense - indefinite


Regaining Title IV Eligibility


A student, whose eligibility has been suspended, may resume eligibility before the end of the ineligibility period outlined above if:

  • The student satisfactorily completes a drug rehabilitation program that complies with criteria as prescribed in regulations by the Secretary of Education and includes two unannounced drug tests OR

  • The conviction is reversed, set aside, or otherwise rendered nugatory.


Code of Conduct for Education Loans


Iowa Code Section 261E.2 and Section 487 (a)(25)(A) of the Higher Education Act (HEA) requires colleges and universities to develop, administer, and enforce a code of conduct governing educational loan activities. You may review EICC's code of conduct for educational loans on the EICC website at www.eicc.edu


State-Based Student Complaint Process


The Iowa College Student Aid Commission (the Commission) has overarching, statutory authority under Iowa Code Chapter 261B to determine the registration (i.e. licensure or authorization) status of postsecondary educational institutions that operate at physical location within the state of Iowa or that offer distance education courses and programs to Iowa residents. In addition, the Commission administers provisions of Iowa’s student consumer protection laws in Iowa Code Section 714, 18, 714.19, 714.23, 714.24 that address financial responsibility for certain educational institutions, and, for proprietary institutions, a tuition refund policy for withdrawn students.

Persons who have questions about a postsecondary educational institution’s compliance with Iowa Code chapter 261B, and Iowa Code Sections 714.18, 714.19, 714.23 and 714.24 should contact:

J. Carolyn Small
Postsecondary Registration Administrator
Iowa College Student Aid Commission
(515) 725-3413
Carolyn.small@iowa.gov 


In addition, the Iowa College Student Aid Commission maintains a Constituent Request for Review process that meets the conditions of federal regulations in 34 CFR 600.9(a)(1). These regulations state that a postsecondary educational institution located in a State is legally authorized by the State, in part, if the State has a process to review and appropriate act on complaints concerning the institution. The Commission accepts complaints from any student attending any postsecondary educational institution located in Iowa, and from any Iowa resident attending a postsecondary educational institution located in any other State.

A student may initiate the Constituent Request for Review process at the Iowa College Aid Website